Canadian retirees and different earnings traders are questioning which high Canadian dividend shares could be good to purchase proper now for a self-directed Tax-Free Financial savings Account (TFSA) centered on producing dependable passive earnings.
Financial institution of Nova Scotia
Financial institution of Nova Scotia (TSX:BNS) is down 10% in 2025. The pullback provides traders who missed the rally late final yr an opportunity to purchase BNS inventory on a dip and decide up a gorgeous dividend.
Financial institution of Nova Scotia affords a present dividend yield of 6.1%. That is the best yield among the many massive Canadian banks.
The corporate goes by a method transition that may direct extra capital funding to the USA and Canada within the coming years, and fewer on Latin America the place the financial institution centered closely over the previous two or three many years. Modifications are already taking place. Financial institution of Nova Scotia spent US$2.8 billion in 2024 to purchase a 14.9% stake in KeyCorp, an American regional financial institution. The corporate additionally created a brand new senior govt place to supervise growth in Quebec. It’ll take time for the turnaround efforts to ship outcomes, however you receives a commission properly to attend.
Suncor
Suncor (TSX:SU) trades close to $49 per share on the time of writing in comparison with the 12-month excessive round $59. The dip is essentially because of weak oil costs and recession fears. West Texas Intermediate (WTI) oil trades for US$58 per share proper now in comparison with greater than US$80 final summer season.
Suncor’s built-in enterprise construction helps it experience out dips in oil costs. The corporate is thought for its oil sands manufacturing, but in addition has refineries and retail operations that may profit when oil costs decline.
Suncor made good progress on its turnaround efforts up to now two years and completed 2024 with document manufacturing, refining throughput, and refined product gross sales.
Buyers who purchase Suncor on the present degree can get a dividend yield of 4.6%.
Enbridge
Enbridge (TSX:ENB) is up 29% up to now yr, however traders can nonetheless get a dividend yield of 5.9% from the inventory. The corporate continues to drive progress by acquisitions and capital tasks. Enbridge purchased three American pure gasoline utilities final yr for US$14 billion. The corporate can be engaged on a $26 billion capital program.
Enbridge is positioned properly to learn from the anticipated progress in demand for pure gasoline within the coming years as new gas-fired energy era services are constructed to provide electrical energy to AI information centres. The corporate has additionally invested in oil and pure gasoline export services to seize rising world demand for North American power merchandise.
The expansion initiatives ought to help focused 7% to 9% growth in adjusted earnings earlier than curiosity, taxes, depreciation, and amortization (EBITDA) by 2026. Distributable money stream is anticipated to extend by 3%, so dividend hikes will doubtless be in that vary. Enbridge raised the dividend in every of the previous 30 years.
The underside line on high TSX shares for passive earnings
Financial institution of Nova Scotia, Suncor, and Enbridge pay good dividends that ought to proceed to develop. You probably have money to place to work in a TFSA focusing on passive earnings, these shares need to be in your radar.
